What is the FAIRtax?
The FairTax® plan is a comprehensive tax proposal that replaces all federal income and payroll based taxes with an integrated approach including a progressive national retail sales tax, a prebate to ensure no American pays federal taxes on spending up to the poverty level, dollar-for-dollar federal revenue replacement, and, through companion legislation, the repeal of the 16th Amendment. This nonpartisan legislation H.R. 25 and abolishes all federal personal and corporate income taxes, gift, estate, capital gains, alternative minimum, Social Security, Medicare, and self-employment taxes and replaces them with one simple, visible, federal retail sales tax–administered primarily by existing state tax authorities. The IRS is disbanded and defunded. The FairTax® taxes us only on what we choose to spend on new goods or services, not on what we earn. The FairTax® is a simple, fair, efficient, visible and intelligent solution to the frustration and inequity of our current federal tax system.
For more information about the FairTax®, real tax reform, please visit the national site at www.FairTax.org. Other FairTax® informational sites are shown below: